Hi Pinnacle, Your HomeActions News for Monday, July 23, 2018
Is this email not displaying correctly?
View it in your browser .
Pinnacle Residential Properties
Pinnacle Residential Properties
(781) 237-5000
555 Washington St.
Wellesley, MA 02482
Friend Me on Facebook Follow Me on Twitter
Our Website
Featured Listings
Our Agents
Property Search
Pinnacle Mobile App
What is my Home worth
Share Save

Is This Your Situation: Should I Invest in a Condo or a Co-Op?


It’s imperative that you do your research before deciding whether to buy a condo or a co-op. Many people are unaware of their differences, but we’re here to change that. Keep reading to get the lowdown on condos versus co-ops.

The Co-op Lowdown

What you own: Contrary to what you might think when you buy into a co-op, you’re not buying the apartment itself—you’re buying a share of the building. A corporation usually owns the entire building or land and gives individual leases to every member of the co-op. 

Changes to the unit: Changes that you are allowed to make to the unit are limited. They have to get approved by the board first. 

The board: This is hugely important and is made up of residents of the building. The board controls monthly maintenance fees and even gets to decide who can buy stock in the building. This means that if you’re looking to buy into a co-op, the board must approve you first, and if you’re looking to sell your shares in a co-op, the board has to approve your buyer. 

The financials: Co-ops tend to be a little less expensive to purchase than condos. However, the monthly maintenance fees are higher, and it’s harder to sublease the apartment. Boards may also have restrictions on buyer financing.  

Fees: The monthly maintenance fees are higher than those of most condos. However, some portions of these maintenance fees are tax deductible. 

The Condo Lowdown

What you own: When you purchase a condo, you own that specific unit as well as a stake in any of the common areas like pools, gyms, etc. 

Changes to the unit: Owners of condos are free to make whatever changes they deem necessary to their unit. They can change the floors, paint and make home improvements. In some cases, there may be restrictions, but they are far less strict than those of co-ops.

The board: Condos are run by a homeowners association (HOA). They maintain the property and make decisions regarding the monthly maintenance fees. By contrast, in a co-op, you have voting power in what changes are made regarding the building; in a condo, this is less common. 

The financials: Condos typically cost more than co-ops. However, there is more leniency when it comes to buyer financing. You can also take tax deductions on your mortgage interest and property taxes.

Fees: Condos usually have lower maintenance fees than co-ops. The fees cover things like snow removal and maintenance inside and outside of the building. These fees are billed monthly or quarterly. 

Of course, these are just the basics. Keep in mind that laws and regulations change frequently. Give us a call and we’ll discuss your particular situation.

Share Save

Your Comments

Saved Articles
Comments and Feedback
Refer A Friend
Your Privacy
The information provided in this email newsletter is for general guidance only, and does not constitute the provision of legal advice, tax and accounting advice, real estate investment advice, or professional consulting of any kind. The information provided herein should not be used as a substitute for consultation with professional real estate, tax, accounting, legal, or other competent advisers. Before making any decision or taking any action, you should consult a professional adviser who has been provided with all pertinent facts relevant to your particular situation. Home value estimate calculators provided herein are general estimations based on publicly available data and should not be used as a substitute for a professional appraisal. The information is provided “as is,” with no assurance or guarantee of completeness, accuracy, or timeliness of the information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose.
Powered by
Copyright © HomeActions, LLC All rights reserved.

This email was sent to: info@pinnaclehouses.com

Mailing address: Pinnacle Residential Properties, 555 Washington St., Wellesley, MA 02482